Federal Reserve System

The three parts of the federal reserve are 

• federal open market committee, Board of Governors, and Federal Reserve banks

• presidential executive committee, Board of Governors, and Federal Reserve banks

• federal open market committee, Board of Market Directors, and Federal Reserve banks

One purpose of the Federal Reserve Act was 

• to prevent the failure of one bank causing a domino effect on other banks

• to give the government complete control over all banks

What is the FOMC?

• Federal Operating Monetary Committee

• Federal Open Money Committee

• Federal Open Market Committee

ONE responsibility of the Board of Governors is to

• participate in the federal open market committee

• impeach the president of the United States

• decide which local banks will serve as federal reserve banks

Which Federal Reserve Bank President ALWAYS serves on the FOMC?

• Federal Reserve Bank of Philadelphia

• Federal Reserve Bank of New York

• Federal Reserve Bank of Chicago

A goal of the monetary policy of the Fed is 

• low inflation

• high inflation